Freetrade's pre-tax loss more than tripled in 2025 as acquisition-related charges and increased marketing expenditure outweighed revenue growth at the UK retail investment app, according to financial statements filed with Companies House.
The London-based platform reported a loss before tax of £24.4 million for the 12 months to 31 December 2025, compared with a £6.8 million loss in 2024. Revenue rose 10% year on year to £31 million, while assets under administration climbed 34% to £3.3 billion.
The 2025 figures represent Freetrade's first full year within IG Group, after the FTSE 250-listed broker completed its £160 million acquisition of the commission-free trading app in April 2025 through subsidiary Market Data Limited. Freetrade is now a wholly owned subsidiary of IG Group Holdings plc and received a further £6.5 million capital contribution from its parent in February 2026.
Acquisition and cost pressures
Costs linked to the IG takeover accounted for most of the wider loss. Freetrade booked £16 million in acquisition-related expenses during 2025, including a £10.2 million bridge loan redemption premium, £5.6 million in transaction costs and a £0.2 million write-off relating to an Employee Benefit Trust loan.
Operating costs also increased as the company stepped up customer acquisition and retained staff. Marketing costs directly attributable to revenue rose to £3.1 million from £652,000 in 2024. Wages increased 22% to £10.6 million, while share-based payments more than doubled to £4.2 million.
Customer activity and asset growth
Despite the wider loss, customer activity and balances expanded over the year. Net new funding reached a record £457 million in 2025, up from £405 million in 2024. Positive market movements added a further £387 million to client portfolios, contributing to the increase in customer assets to £3.3 billion.
Trading volumes on the platform rose to £7.7 billion in 2025, compared with £4.9 billion the previous year, underscoring higher engagement from retail investors using the app.
Leadership change
Alongside the financial results, Freetrade disclosed a leadership transition. Co-founder Viktor Nebehaj announced he will step down as chief executive after nearly a decade at the company. No further details on succession were provided in the filing.
